Colombia's central bank Friday reduced the benchmark interest rate for a second month to 9 percent from 9.5 percent in an effort to spur the economy, Xinhua reported.
"The board considers that there are conditions to continue the reduction of the interest rate and consolidate the change of the monetary policy that began in the last quarter of last year," the central bank said in a statement.
"The weakness of the internal and external demand and the drop in the international prices of the basic products is expected to be translated into something that will help ease inflation pressures in 2009," Jose Uribe, the bank's manager said.
The board unanimously voted to cut the rate last month for the first time in three years after Colombian President Alvaro Uribe called for lower lending rate to spur consumer spending and revive a slumping economy amid the international financial crisis.